The way that so many audiophiles seem to want to be bullshitted, bamboozled and hornswoggled is what gets me... Meaningless pseudo-scientific advertising copy and journalistic opinion is swallowed hook, line and sinker, including things which are impossible and things which would make anyone with genuine technical knowledge laugh out loud. This has been so successful for the marketing men etc that many things which are tenuous at best, and in some cases simply impossible, are now accepted as 100% true and "accepted best practice" by the vast majority of enthusiasts.
On VFM of high end hi fi well they are prime examples of Veblen goods... There is an interesting thread elsewhere on pfm comparing some very expensive amplifiers from Naim, Vitus and Luxman etc. I believe the Naim pre and power is £27,000. Apart from being technically bog standard textbook circuitry it is also typical of topologies dating from around 1973, and having been used by Naim since around that time has hardly needed any R&D input! The total cost of components in the pre and power would come to something like £300 - 400 tops. Lets be generous and say the casework comes to as much again (it won't). So how do we end up with a £27K price tag? Clever marketing people creating a perception that a particular brand is worth that much for much the same reasons that a painting can be worth £20 or £20 million because of who painted it.
Hypothetically speaking, someone could build an amp in which the internals were an exact copy of the £27K Naim and it obviously sounds exactly the same (as it is exactly the same). For the sake of argument it's built just as well and although it has different styling it is aesthetically pleasing.
How much is it worth? £1200? £2000? Certainly you would be laughed at if you tried to get £27K for it!
Tell people enough times how wonderful a product is, place advertising in glossy magazines, buy the right reviewers and industry pundits, go to international hi fi shows where you have impressive displays etc, get dealers to spin the right spiel and preferably stay around long enough to be regarded as well established and now the magic happens... A collection of electronic components and casework with a material value of £700, made into an amplifier which if it was produced identically by "Joe Bloggs Hi Fi" would sell for say £2000 is now miraculously "worth" £27,000.
Simple as that.